If your looking at a property, how would you estimate repairs ? What would you look for ? and once you have a figure in your head, how do you attack the situation ?
First I just look at the house. I figure paint and carpet new appliances and then fo from there. If the rough dollar fiigure means we still have a possibility, I make an offer with that figure in mind. I take a 7 day option to check out the property. During that option period, I take one of my handymen over and get an estimate. That way I know how much the fix up is going to be before the earnest money goes hard.
I take a 7 day option to check out the property. During that option period, I take one of my handymen over and get an estimate. That way I know how much the fix up is going to be before the earnest money goes hard.
What happens if you find something wrong with the house in that seven day period ? Do you cancel the deal ? Do you try and buy the property for cheaper money ? What happens if the person dosen’t give you your earnest money back ? Sorry for so many questions. Thanks !
You get your earnest money back. It is like a free look
Can you do this with foreclosures ? I’m talking about the type of foreclosures that you place bids infront of the persons home ?
With auctions you do the due diligence up front. During the inspection period, take your contractor or handyman with you and get him to give you his bid and factor that into the cost of the house. Auctions get emotional. You are tempted to say I can offer a little more and a little more and next thing you know you are paying retail. Remember DON’T bid more than the value you decide it is worth plus repair costs. If the market value of the house is $100,000 and your handyman bids $20,000 to fix it up. You can’t bid $70,000 because that leaves you no profit. You can’t bid more than $50,000 for the house. That is $50,000 for the house and $20,000 for fix up you got the house for $70,000. Remember when the hammer goes down and they say sold to SteveGent you just bought it.